elizabeth cohen. coming up, new information about the suspect in the l.a.x. shooting and whether air travel is still being affected. plus, a huge parade in boston. more than 1 million people strong celebrating the red sox world title and honoring victims of the boston marathon bombing. and here's the real johnny. a former friend dishes on some dirt on the former late-night kingpin. i'll see you back here in 30 minutes. i'm fredericka whitfield. "your money" right now. a legacy on the line. after fighting for fairness, is it the rich riding highest in the obama economy? i'm christine romans, and this is "your money." it was just two weeks ago when it seemed the president had won his latest battle. >> the way business is done in washington has to change. >> but with an obama care fiasco bringing any momentum to a

screeching halt, has he lost the war? a president whose signature legislation has turned into a national punchline. >> so if your doctor's only giving you three weeks to live, you are screwed, okay? >> whose spy agencies are tapping allies' cell phones. >> i guess the real question is who's in charge? the president doesn't seem to know if he's spying on our allies. >> the president says he didn't know about it. the only thing going the president's way these days, the economy. at least for those with the money to take part, the dow and the s&p 500 hit all-time highs again this week. corporate profits roaring back. and a housing rebound. but you need cash and good credit to get in the game. so what happened to promises of an economy focused on fairness? >> this country doesn't succeed when we only see the rich getting richer. committee succeed when the middle class gets bigger. >> yes, jobs are returning. but good-paying jobs that once made the middle class strong are disappearing. stagnant wages and low-paying jobs are the new normal.

one america with two economies. is there still hope of that changing in time to change the president's legacy? john king, don peebles, member of president obama's national finance committee. john, let me start with you. president obama's poll numbers hiing new lows, just over three years -- three years from the end of his run. can he reverse this? >> can he reverse it, christine? >> absolutely. >> can you see a clear path for him to reverse it? no. for a number reasons. you mentioned his personal approval rating is at the lowest point of his presidency. also people are in a lousy mood about washington. some of it's the government shutdown, some of it's the rollout of obama care. the president would need partners to reverse it, to get things done. paul ryan who he's negotiating with, a disciple of jack kemp, he would like to work on some of these economic proposals. a lot of these tea party members come from districts that are struggling. they're behind in the recovery, if you will. so they have common interests, but christine, what they don't

have is any common ground. so it's very hard to see any major new economic 234ish tifs in the short term. the president would have to have a big win in the 2014 midterms. anyone can see that happening is reading data that i don't see. right now is seems ache a break-even or republican year. >> when i talk about one america with two economies, here's what i mean. the stock market surged, but only half of americans are invested. good-paying middle-class jobs being replaced by jobs that have lower wages. without blaming republicans, what could this president be doing differently? you're a businessman. you know the economy. what could he be doing differently? sfroo well, i think what's missing here is a correlation between the contributions of the business community making and can make versus pulling up the middle class and bringing more people into a pathway of the middle class. we could be more effective. i think the president could be much more effective in terms of bringing businesses into the discussion in terms of expanding

the economy because we need a prospering and expanding small business community and large corporations to go back to expanding as well. >> john, we've seen a decline in consumer service. you talk about this pessimism taking hold. we've got this decline in confidence. the president didn't create the disconnect, but what has he really done to change it, this disconnect between markets and the rich getting richer and everyone else saying, wait, this is just not working for me? >> look, it's whatever your political views out there watching, it's not all the president's fault, but he is the ceo of the country right now. you know, he could say i asked the congress in my state of the union address for more jobs program. i asked them in my state of the union for an infrastructure bank. the republicans in washington won't give it to him. there are 30 republicans around the country, you know many of them would love to get money for roads and bridge, so she could go to the business community and say we'll help you. it's not going to happen in washington right now. this is a self-fulfilling prophecy. and if the president has no

partners, not enough votes in washington right now for his ideas, he won't accept the republican ideas. and the country out there now doesn't believe that washington, because people are in such a bad mood, could take one and one and even get to two. >> don peebles, complaining about obama care aside, has american business done well under this president? >> some have. i think some businesses have grown and done very well because they've been well positioned to do that. and, of course, as you pointed out earlier, that in order to take advantage of the housing market or the expanding stock market, you need money. and those businesses that had good reserves and good access to capital have prospered. and small businesses have prospered as well. but there are a lot of small businesses and entrepreneurs who have been left behind because this economy has got a vice grip on credit. >> all right. don peebles, john king, nice to see both of you. for more stories that artery to your money, give me 60 seconds on the clock. it's "money time." >> reporter: $17 billion. it's how much the government has

collected this year from banks behaving badly. and that doesn't even include jpmorgan's $8 billion tentative settlement with the justice department. 57 million social security recipients will get a 1.5% raise next year. it's the smallest cost of living adjustment in years. it averages about $19 a month. apple sold nearly 34 million iphones last quarter. but still profits fell as ipad sales were flat and mac sales slipped. the fastest growing segment of the mobile device market is still in diapers. a new study finds 38% of children under age 2 are watching shows and using apps on smartphones and tab lelettabletm just 10% two years ago. in may "consumer reports" called the tesla model "s" the best car it ever tested but wouldn't recommend it until now. the magazine claims it has enough reliability data to finally grant its blessing. the best-selling car in america, the camry, lost its recommendation after the car's performance in a recent crash test.

morgan stanley says there's a global wine shortage. demand is rising worldwide at the very same time bad weather hurts production. all right. coming up, feeding three children about to get harder for this grandmother. she's one of 47 million americans whose food stamp benefits will be smaller this month. as we face the harsh reality of the new normal, are we heading off a hunger cliff? hydration is in.s out. [ female announcer ] only aveeno daily moisturizing lotion has an active naturals oat formula that creates a moisture reserve so skin can replenish itself. aveeno® naturally beautiful results. the end. lovely read susan. but isn't it time to turn the page on your cup of joe? gevalia, or a cup of johan, is like losing yourself in a great book. may i read something? yes, please. of course. a rich, never bitter taste cup after cup. net weight 340 grams.

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medicare open enrollment. of year again. time to compare plans and costs. you don't have to make changes. but it never hurts to see if you can find better coverage, save money, or both. and check out the preventive benefits you get after the health care law. open enrollment ends december 7th. so now's the time. visit medicare.gov or call 1-800-medicare more than 47 million americans are on food stamps. that's nearly one in every six people in this country. the numbers exploded during the recession. and they've kept rising even with the recovery. but on friday, those 47 million americans saw their benefits reduced. rosa flores is here with us. you met with a grandmother who, you know, she's going to have a harder time feeding her family. >> it's going to be a tough time for her and 47 million americans, like you said, and the timing couldn't be worse, folks. the end to this temporary boost in food stamps comes just weeks before thanksgiving, hanukkah

and christmas. and while republicans are usually blamed in this case, this time, an interesting twist. how the white house took a gamble and lost. >> let's go. i just learn how to survive. >> reporter: it's a walk home from school filled with life lessons. >> that's good for five cents. >> reporter: katherine mckinnon wept from grandma to a single mother of three when her daughter died. >> no matter how people look ought, just keep your head up. >> reporter: but her life on food stamps may be about to get tougher. and this is why. remember the first lady's initiative to fight childhood obesity? the white house borrowed money from the war on hunger to fight the war on obesity. that means on november 1st, the snap program runs out of money from the 2009 american recovery and reinvestment act. >> here. >> reporter: each month katherine gets about $358 in

food stamps. about $4 a meal in a city where cereal at her local store costs $4.50. so she sells c s cans for money. >> after these cuts, the average benefit per person per meal will be $1.40. >> reporter: katherine and 47 million americans will now have even less money. that includes 22 million children on food stamps and 9 million elderly are seriously disabled people according to the center for budget and policy priorities. even congressional democrats were upset about the president's gamble. >> i did not want to do that. this was a -- these were bad choices to make. >> thank you. >> reporter: mckinnon already supplements food stamps by eating two meals a day at a soup kitchen, a senate version of the farm bill which funds the food stamp program proposes cutting nearly $4 billion more over ten years. the one in the house, $39 billion more. >> we need to reform the food

stamp program. i'm not so much concerned about the planned spending reduced as is getting policies that promote work and dignity. >> reporter: katherine stands to lose $36 a month, dollars that already don't stretch as much as they used to. >> milk is almost $5. >> reporter: another important lesson to share. you're probably wondering, is katherine receiving ssi or supplemental security income for the children she inherited. the answer is no. she says that the children didn't qualify. and as you just heard, more cuts are coming. >> all right, rosa flores, thank you. michael tanner is senior fellow at the cato institute. thanks for joining us, michael. you could be a civil libertarian and argue the welfare state has grown too far. 15% americans are being fed by the government. what do we tell a grandmother like katherine when she's going to see a benefit cut like this? >> well, don't forget that the "s" in supplemental nutrition assistance program, the s.n.a.p.

program which is what food stamps is officially known is stands for supplemental. no one is supposed to be living solely on food stamps. and in fact, very few people on the program are living solely on food stamps. they almost all have either other welfare programs or outside income in bringing it in. you know, this is a program that has grown from being an $18 billion program as recently as 2000 to being$2000 to being i a program today. surely, a 5% cutback is not going to create the great american famine. >> so conservatives say this isn't really a cut. we're returning to the way things were just a few years ago. sort of like last year when democrats argued they weren't really raising taxes on the wealthy. we were just returning to clinton era levels. listen. >> all we're asking is that folks like me go back to the rates we paid under bill clinton. >> the same level they were during the clinton administration. >> it's bringing tax rates up to what it was for the wealthy in

the clinton era. >> so is this a cut to food stamps or not? >> sure, it's a cut to food stamps. let's not play semantic games. if you were getting a certain amount of food stamps yesterday and today you get less, that's a cut. now, that said, the fact is that we are still spending more and more money on this program, and we can't just continue to expand it forever. >> but isn't it because people need it? look, there's this perception out there that -- and you've ever seen, not everybody on food stamps needs food stamps to survive. there's this perception that some of these people might be lazy. there's a perception that people are somehow gaming the system. but when we talk to food bank people who run food banks, they say that is not what we see coming through the front door. i want you to listen to something a woman told me this week. >> the largest group within this group of lazy people would be children. then there are seniors, and then, of course, the disabled. this is the overwhelming amount. more than 40% of the people who are on this program actually do work. >> what do you make of that

argument, that this is really feeding children? so much of this is about feeding households with children? >> well, the number of able-bodied adults on the food stamp program has been rising significantly in recent years. in part because we've largely eliminated the work requirements that were a standard part of this program before. i think what we need to do is go back and institute work requirements, a stronger means in asset testing programs so that we can target these benefits to exactly the sort of people in need that we're talking about. >> the problem here is we need more jobs. we need more jobs that people can get into at all kinds of income and talent numbers. if we could just have more jobs first, maybe we could reform these programs a little bit better. michael tanner, nice to see you, senior fellow at cato institute. thank you. >> thank you. the obama administration spent the week apologizing for the botched rollout of healthcare.gov. but one state is trying something a little more low-tech. we're going to take you inside the obama care store. that's next. n.

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a small but important change in message this week. here's what the president said during the presidential campaign after he took office and even during the state of the union. >> if you like your doctor, you can keep your doctor. if you like your health care plan, you can keep your health care plan. >> all right. here's what he's saying now. >> for the vast majority of people who have health insurance that works, you can keep it. >> all right. note that is a difference? as the obama care plans have gone live, some people have been notified that they can't keep their plans after all. here's why. most of the time it's because the plans they have don't meet the minimum standards of the affordable care act. that law requires everyone gets mental health care, maternity care and medication coverage. and out-of-pocket costs are

capped at 6,350s $6,350 a year. now, with a few exceptions, the plans that don't meet that minimum will be gone. right? so unless you meet all three of those categories, your plan will not be offered. and the new plans offered that follow obama care requirements, they're more expensive often because they have to cover these extra items. now, the data mostly anecdotal right now. but for example, our elizabeth cohen spoke to a 34-year-old man who buys his own insurance. he's now paying $173 a month with a $5,000 deductible. his new plan would cost $244 a month with a deductible of more than $6,000. that costs more. but his old plan didn't cover everything. it didn't cover maternity care, brand-name drugs, mental health care and routines. now, the administration says the expansion of coverage is necessary because you can face an illness or an accident at any time. you need that coverage. but some people feel they're too

healthy to have to pay for coverage they don't want to use. the obama care website, a technical fiasco under fire again this week. >> it's been down the whole time you've been testifying. the system is down at this moment. >> but one state-run exchange has tried to do business the old-fashioned way. offline. zain asher is here with more. >> reporter: hi, christine. connecticut state exchange access health ct is opening up the first obama care brick and mortar store, a one-stop shop where connecticut's uninsured can go for all their health insurance needs. but like the federal website, things don't always run so smoothly. take a trip down main street in connecticut, and right next to edible arrangements, you'll pass a storefront that has the locals intrigued. >> we have a lot of different questions from individuals because it's new. >> reporter: a retail store set up by connecticut state exchange dedicated solely to all things obama care.

>> it's complicated. and so we want to make sure that people know what the new law really says and how it affects them. >> reporter: think of it as the first brick and mortar version of an online state exchange. management say they wanted to be creative, so they used the apple store as their inspiration. >> it's clean. it's open. it's bright. and as you can see, you know, it's very open for a customer to walk in and just kind of feel welcome. >> reporter: past the greeting area, there's a screening area for informational videos on insurance, a play area for uninsured customers with toddlers, and cubicles for insurance brokers. >> it just feels great, you know, that somebody has your back. somebody's there to help you. >> reporter: management also say that by having a physical store, they eliminate some of the confusion about what the exchanges actually are. >> we got a lot of questions from individuals confusing this for the stock exchange or people thinking that it was physically a place where they had to come

and bring their insurance cards in and physically exchange them for something else. >> reporter: but the in-store experience is running into problems. one customer says she's already had to come in three times to try and enroll for health insurance. every time she moves further along in her onlynam indication, it forces her to come back and start over. >> it's frustrating because you put your trust in the government. and sometimes it all doesn't come out the way it's supposed to. >> reporter: but connecticut is going full speed ahead. the state already has plans to open a second retail store in new haven in the coming week. >> we wanted to find a way to really make a firm commitment to physically being in the communities where many uninsured individuals reside. we wanted to literally be part of the community. and so the concept of a retail store was really born out of that thinking. >> no word yet on how many people in connecticut have enrolled in health coverage through the store. it's only been open for less than a week, but they say they've already had a cancel a

number of appointments because of issues related to the federal data hub. christine? >> the federal data hub. >> same old story. >> issues. thank you so much for that intriguing look inside connecticut. thanks, zain. coming up, still confused about obama care? >> well, madam secretary, while you're from kansas, we're not in kansas anymore. >> i was in the third grade there, and i thought i saw you on a tricyle. >> ever used a coupon? >> yes. >> of course you are. why bumper-sticker politics doesn't work for the affordable care act. that's next. more than a new interior lighting system. ♪ it is more than a hot stone massage. and more than your favorite scent infused into the cabin. it is a completely new era of innovation. and the highest expression of mercedes-benz. introducing the 2014 s-class. the best or nothing. store and essentially they

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the worst seat in washington this week? probably the one occupied by health and human services secretary kathleen sebelius. she was grilled wednesday by a house committee in a hearing that occasionally was just downright weird. >> toto, we're not in kansas anymore. >> i was in the third grade there, and i thought i saw you on a tricyle. >> ever used a coupon? >> four pinocchios. >> the sky is falling. >> don't do this to me. >> none of that is about getting

health care. that's about getting re-elected and some kind of political parlor game in washington. there's a reason it got to wacky because you can't reduce something as complicated of the affordable care act to a bumper sticker. the president has even tried to do this. >> if you like your health care plan, you'll be able to keep your health care plan. period. >> as we saw, that's turning out to not be true. for some americans, especially those who buy on the individual market. so the president is getting a bit more specific lately. >> if you had one of these substandard plans before the affordable care act became law, and you really like that plan, you are able to keep it. >> of course, president obama isn't the first president to get tripped up by bumper-sticker politics. >> read my lips. no new taxes. >> or this. >> major combat operations in

iraq have ended, and the battle of iraq, the united states and our allies have prevailed. >> if it fits on a bumper sticker, it's probably missing some important context, nuance, in facts, you know, war taxes, health care, these are complex policies. they can't be boiled down to a slick slogan. nuance is necessary. now there's a bumper sticker i can get behind. that's it for "your money." we're here every saturday. have a great weekend, everybody. hello, everyone, i'm fredericka whitfield. here are the top stories we're following in the "cnn newsroom." one tsa agent dead, two others hurt in a shooting at l.a.x. now new information about the suspected gunman and a potential motive for the rampage. a controversial nypd program remains in place. officers can stop and frisk anyone they think looks suspicious. but does the program unfairly target african-americans?